With Bitcoin hanging around $9,400, where do prices go next?

After a nice run-up from the $7k area, bitcoin has been hanging out over $9k for the last week or so.

This kind of sideways price action has many wondering where we are likely to go from here...

Myself included.

Looking at the charts I think we are likely to challenge $10k at some point very soon here.

Plus there is an old saying in stocks and other commodities that when an asset gets a 9 handle, it usually goes for a 10 handle.

Just the way people tend to work.

A dip before the rip?

After getting up near $10k we may see a slight pullback...

There are many short indicators that are currently overbought or starting to get there.

For that reason after a brief surge up, we might be due for a bit of a dip.

A dip that I don't think will get much lower than about $8,500 ish... and certainly not below $8k.

However, from there, that is when the fun starts...

Elliot Wave says $20k is coming...

After our brief dip to $8.5kish, I think we are going to see a nice rally that eventually takes out that $14k high at a minimum and then the $20k high.

Both of which I think will happen within several months of the halving, possibly on either side of the halving depending on the way things play out, but most likely after.

The Elliot Wave theory would also seem to validate that line of thinking...

Check it out:

(Source:

https://twitter.com/SmartContracter/status/1223365998188716032

- SmartContracter

)

As you can see, it is calling for a little higher first, then a slight pullback.

But then after that pullback, it's calling for a monster rally that takes prices to $14k and then eventually to new all time highs.

What is interesting about following this line of thinking is that the move up from $3k to $14k in 2019 also followed the 5 wave pattern.

And as I like to say, history doesn't always repeat exactly, but it often rhymes.

If bitcoin followed the 5 wave pattern last time, I would not be surprised to see it follow it again here.

And if it does, that would imply we are going to see $20k+ this year.

Stay informed my friends.

-Doc